neil cavuto will be in for context, specs perspective and the rest of today's news. i'll see you back here at 7:00 eastern. >> neil: finally the speaker is going to speak. house speaker john boehner who has been putting on memos and articles in the "wall street journal" as the president speaks around the country about the damage about to be inflicted on us all friday with the sequestration cuts. finally today he'll respond with republican leaders moments away now from a g.o.p. press conference ahead of what democrats have been saying will be all but financial armageddon but four days away. when it gets under way, we are there. >> welcome, i'm neil cavuto. ahead of that republican press

conference, what we can expect to hear. chad? >> it's very simple, i talked to a couple republican aides this morning and they said there's a very unique equation here. sequester equals bad. obama coined the sequester. that's what they say. i talked to democrats and they say we need four more days to shut off the sequester. the interesting thing is that everybody is locked in. there is no bill that's moving in the house of representatives. republicans say we passed two bills last year. there are a couple of bills in the senate moving later this week. republican plan, democratic plan, which would curb the sequester and give agencies the agility to time the cuts out so they don't hit at once and give them discretion in the way they make cuts. but the bottom line is this is not a hair on fire moment on capitol hill. we have been through these drills meantimes on government shutdowns and the debt ceiling

and fiscal cliff. it's not a running down the hallway, blackberries exploding. it's an interesting dynamic. >> now the republican leaders who are going to respond to the pr pressure against them over the last week by the president. >> good afternoon, everyone. four days, we have four days until the president's sequester takes effect. if he, the senate democrats, do not come up with plan to replace these cuts with more -- with smarter cuts and reform. yet it seems that the president is more interested in doing his campaign style rallies rather than actually sitting down with the democrat controlled senate, coming up with a plan. tomorrow the president is traveling to newport, virginia, 180 miles from washington would you washington, d.c. to hold another

rally instead of travel to go capitol hill to come up with a plan to replace cuts with smarter reform, smarter approaches. the republicans over the last ten months, the republicans have been working. we've passed two bills to replace these cuts. now we need the president to stop campaigning for higher taxes, come back here to washington, d.c. and lead. >> the president proposed this sequester, yet he's far more interested in holding campaign rallies than in urging his senate democrats to pass the plan. we know there are smarter ways to cut spending and to continue to grow our economy. that's why republicans have acted twice as kathy said to replace the sequester. we would argue they're smarter cuts. listen, the president says we have to have another tax

increase to avoid the sequestration. well, mr. president, you got your tax increase. it's time to cut spending in washington. instead of using or military men and women as campaign props, the president was serious, he would sit down with harry reid and address our problems. the house acted twice. we shouldn't have to act a third time before the senate begins to do their work. >> good afternoon, we heard the president say last week that he would he was going to be forced, because of sequestration, to let criminals loose on the street if he didn't get another tax hike. today we hear discussions from the secretary of homeland security we're going to have have to sacrifice homeland security efforts if we don't get another tax hike. this is a false choice and the

president has been engaging in a rhetoric of false choice for weeks. as the spaker just indicated, we in the house have acted. there's a smarter, better way to go about trying to achieve the reductions in spending so we can get it controlled over the spending. and in the house, we even included measures that the president has proposed in his own budget. but yet the president won't support even his own measures unless there's a tax increase. so the president really ought to stop campaigning and come back to the table and work with us. we care about what happens to this economy and the people who sent us here. we have proffered alternatives. we don't agree with the false choice the president has put forward. the president is campaigning in new port news, virginia. we're very concerned about the impact on the economy as we are

in all states. there's a way to effect the right changes and reforms so we can avoid that. we must set aside the false choice the president is proffering. >> as the other leaders have said, the president's only idea to solve a problem is to take more from the hard working taxpayers. sequesterrer is $85 billion. we borrow more than a trillion. we roughly borrow $85 billion every 28 days. what we're looking to do is cut less than what we borrow in one month. not what we spend but what we borrow. this is not time for a road show president. this is a time to look for someone who will lead and work with us because we're willing to work with them to solve america's problem. >> time for questions. >> on both sides, the democrats

offered $20 billion in agricultural spending cuts. is that something you might be interested in? >> it would be an option. someplace to start. >> considering no negotiations are going forward, is it your expectation sequestration will take effect on friday? >> hope springs eternal. the president can sit down tonight and work with the democrats to move a bill. it's time for them to act. yet we see nothing. >> do you have a sense of how many jobs will be lost as a result of the sequester? >> i do not. but i can tell you this. if we don't solve of spending problem here in washington, there will be tens of millions of jobs in the future that won't happen because of the debt load laid on the backs of our kids and grandkids. i came here to save the american dream for my kids and yours. this debt problem and the president's addiction to

spending is threatening their future. thanks. >> all right. if you were expecting the speaker to blink, he did not. in fact, this idea that jobs will be lost depending on whose math you use, lost as a result of the $85 billion in automatic cuts that kick in march 1s, he was saying it would be much worse if they did not act. we have a a fall off on the dow. this is more to do with what's going on in italy. you might be saying what? well, it looks like whatever new government is forming in italy will be a center left government that doesn't take kindly to measures of austerity and that could spill over to other countries who backed away from astairety. it's the opposite reaction of

what is going on in the united states. i want to stress that. they're responding to europe falling out of bed, not us alling out of sorts. 216.5 selloff on the dow. the byron york has been sorting through this. what do you think? we're headed to something on friday. what will it be? >> we didn't hear anything new from the house g.o.p. leadership. they're not going to change position. they say they've already passed plans to avoid the sequester. they have. they did it last summer and again last december but the president threatened to veto it when they passed it last year. that's a total nonstarter as far as the white house is concerned. so as i listen to them, i didn't see any intention of moving away from their position of letting the sequester take place march 1. >> what did you think of speaker boehner's argument, the first chance to verbally respond,

besides what he's written in press releases, that there's greater damage and risk to the economy letting business as usual persist, paraphrasing, but not addressing this than quickly agreeing. >> there's a conflict a problem with boehner's position, a lot of republicans are saying the sequesters cuts are terrible. they're the worst case scenario and we want to let them happen. they've had a conflict this their messaging on this. i think if you talk to republicans on the hill, they believe that no, the sequesters are not the best way to make cuts but they're already law, republicans tried and tried to get cuts for many, many years. now they got them in their pocket and they don't want to change anything. >> neil: there's talk the president is far from retreating on spending, given the environment.

he's upping the ante. >> there's something going on that republicans are calling the 100 city tour. they noticed from whistle blowers and new reports that in mid february a bunch of white house and administration officials visited beaverton, oregon for a seminar teaching local government officials how they could get more from grants from the labor department, the epa, cdc. the whole plan was to go there and show them how they could get more in federal spending. what happened is the white house plans 100 of these visits all around the country. and tom coburn, the republican senator from oklahoma, sent him a letter saying please don't do this. cancel this tour. the white house today, jay carney, the spokesman, says it's not a tour. in fact, they are going to be visiting many, many cities and

states around the country trying to encourage those local governments to apply for more in federal grants. >> neil: i'm wondering where you think this goes. these are backing up like planes at la gashed i can't, so called -- laguardia. the next one is what happens the end of next month as we face another government shutdown. >> that's the continuing resolution fight. since the congress has not passed a budget since april of 2009, they fund the government by passing continuing resolutions which basically keep the government going on its current basis for another x number of months. they've got to do another one to fund the government until the end of this fiscal year on september 30th. and right now, there's -- it looks like there's going to be serious fights over spending and taxes. same issues we've seen in the fiscal cliff and the debt ceiling. >> neil: thank you very much. >> thank you, neil.

>> neil: do you remember what happened when some government dimwits banned light bulbs? >> a new shipment of soft whites. >> anything bigger? >> megabulbs. >> clear ones? >> now say it ain't soda. >> i need a fix. >> i got the last bottle on the east coast. >> how much? >> 50 bucks. >> 50 bucks? that's all. >> i have a guy in cleveland who will give me 75. >> okay, take it. take it. dad, i'd put that down.

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nanny told us have a little bit of faith and lots of love ♪ >> neil: wait a minute, that isn't nanny. maybe the pro if he professor. some nannies are nauseating. the guy running the big apple is at it again. mayor bloomberg's soda ban is affect are your pizza. no more pitchers of fizzy drinks this isn't just happening in new york, i'll spell out the other cities and states. robby ludwig has been looking at this. he says people have a right to be annoyed. this is like doubling down on this. >> it's too dictator y'all.

i like when people make choices that are healthy. when i look at my kids, their feeling about smoking is negative. why? they've been taught it's knot not healthy. >> neil: they've also found out it's hard to find a place to smoke. >> that's true. i understand why the mayor wants to do what he's doing. it's not healthy to have large glass of soda and it's not good for us healthwise. but i don't like the idea of telling people what they can and cannot do. >> neil: it's one thing with the big gulp. >> what's next? >> neil: that's just it. it's more than new york. we look -- in portly, new jersey, if you text while you j walk, you could get fined. if you use sunscreen at summer camp, you could be fined.

outdoor smoking ban, new york state, new york city, across the board. these are some we pursued today. toys in mcdonald's happy meals are banned in san francisco. it's illegal to store junk in your car in hilton head, south carolina. screeching your tires in kansas, not allowed. on and on we go. >> yeah. so again, i don't like the idea of telling people what they can and can't do. i think the way to go about anything is through education, public service announcements. >> neil: shouldn't it be up to a vote by the people? the mayor's he can force his way through. >> there's no vote. that's what is upsetting. he can set any ban he wants and people go along with it. if you put 32-ounce soda -- >> there's a menu count. >> that's tremendously helpful for people who don't know about

nutrition. if i drink this, i'm taking in 2,000 calories and that's unhealth y people want to be health y they want to look good and be happy. >> neil: he's saying he's doing it for all of our own good. >> it's a parental role saying people can't make good choices for themself. that's not the case. >> neil: doctor, thank you very much. in the meantime, when lincoln's left sinking and heroes prove zeros, never mind why oscar passed him up, why is this hollywood's way of knocking genuine heroes down?

>> neil: america's heroes are out. at laos in hollywood.

"zero dark thirty" nearly shut out by the academy. lincoln, aside from best actor was snubbed. a case of make believe hollywood having a problem with real life heroes? monica krouly, what do you think? >> well, it's interesting that the two movies that sort of celebrate america or traditional american values, lincoln and zero "zero dark thirty" were snubbed. what struck me was michelle obama presenting best picture award and behind her, a number of military personnel. >> all women. >> no, there were a couple of guys. >> it's had ard to find. >> those are the real heroes we should celebrate instead of the fake heroes that hollywood is celebrating. "argo" was best picture. >> in a way, they -- >> but they took the cheap way out. "zero dark thirty" -- listen, i

loved it but "zero dark thirty" attacked politically from both sides. katherine bigelow accused of being the witch woman for torture. she was the -- >> neil: we should explain, the movie is about. >> killing bin laden. >> just fi torture and in the end -- >> let me just tell you this. what we did is shut that out. it was black listed. it was told it couldn't be because it wasn't politically correct. here's what interesting. jessica chastain, who did not get best actress, is -- remember the pakistani doctor? the contrast with michelle. >> neil: she's trying to are bring attention. >> we have for somebody bringing politics, but we're celebrating

the film. guess who is the only person if benghazi behind bars, the better examiner sizing his first amendment rights, sitting in a jail cell. >> neil: to be fair, the movie and nominees were not given a chance to express their concern. >> because they ran the show to badly i. >> neil: my point is can you blame the cast? >> and get on stage to make the case. >> neil: you're arguing there's a greater antipatriotism? >> there were two -- there were a lot of things missing from last night. but when michelle obama is standing with the u.s. military, servicemen and women, i would have expected her to give a shout out to the military. when ben affleck stood up, there was no mention of our

intelligence services and our spies that go to work every day under the radar with no recognition whatsoever. he thanked canada, he did not thank the united states. no mention of our military troops around the world. that speaks volumes to me. that was a sin of omission. >> but he did -- >> they don't even think that way. >> he made his important point, which was i was denied my oscar and i refuse to be bitter. i'm really pissed. then but having the first lady going to washington -- >> neil: that was weird. >> you talk about bringing politics into the oscars, given what you have just ex excluded, the lincoln movie. >> >> neil: what about the lincoln snub. >> they had to give him the award because he was unbelievable. everything else was snubbed. same with "zero dark thirty."

"argo" weapon to have but we -- we have to have. >> the golden globes brought in bill clinton to introduce the lincoln film. you have a democrat president introducing a movie about a republican president. there's no mention of the fact lincoln was a republican. also, "zero dark thirty" based on bush's counterterrorism -- >> "zero dark thirty" is about americans in the intelligence world but the effort to bring to justice a man to killed -- it wasn't about politics but last night he was made a political victim in a place that's become politically so correcting the country be dammed. >> neil: well, it stood out. forget oscar recipients. welfare recipients is part of a new report calling out hollywood's hypocrisy on taxes. >> certainly we've heard from

hollywood elite yelling to 1%ers to pay their fair share. according to a new report they bagged $1.5 billion in tax revenues through something they call film tax credits. we can use specific titles, a few of the big oscar nominated names. a new report revealing quinton tarantino applied to receive an estimated $8.4 million tax credits in louisiana. "argo," directed by ben affleck, received $6.2 million in tax credits from california. lincoln, featuring oscar winner daniel day-lewis, brought in $3.5 million in tax-free film credits. silver linings playbook bagged a cool $5.6 million.

what we know from the report, 40 states now have some form of subbeddy or incentive that allows filmmakers to defray the sales tied to the films. 13 states offer transferable film tax credits. neil, what's adding insult to injury to all this, it's costing all of us more to go to the movies. ticket prices up 37% over the past decade. of course all these film tax credits come at the expense of the packs pair and we're -- taxpayer. >> neil: don't get me started on popcorn and reese's peanut buttercups. >> another state, another doctor shortage. whatever happened to this? >> if you like your doctor, you will be able to keep your doctor. period.

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>> there must be someone who will find me a doctor. >> this is a full moon. everybody's going into -- look around you. there's not enough nurses or doctors. unless you want to deliver this baby yourself, follow me. >> that may be funny but this is actually no joke.

another doctor shortage and this time it's florida. the next guest says the president's healthcare law is making matters worth. rebecca, what's going on there? >> well, what we're seeing is an echo of what's going on nationally. except florida as unique concerns that make it stand out with respect to physician workforce shores shortage. we've a large number of people over the age of 65. we've got a large uninsured population and a large percentage of folks on medicare in the state of florida. so the factors that other states in the nation are experiencing with respect to physician shortages are also being felt in florida, but more so. >> neil: there are a lot of doctors already in florida. that's not a surprise, giving the aging population, people settle there, retire there.

but it is still not enough for that growing population or is it actually going in reverse? declining? >> well, the numbers of physicians in florida, it is becoming a problem because a lot of physicians are retiring. and frankly it's an issue of just not being able to keep up with demand. >> neil: so the folks who retire and don't replace them or just quit the profession, are they citing the law in particular? the administrative costs, just the -- you know, the paperwork? >> a lot remains to be resolved with how obamacare will be implemented to there's a lot of uncertainty. as you know, for any person trying to make a business work, the last thing you need is andrea an uncertainty regulatory environment.

the concern small businesses across florida are experiencing are also being sponsored by physician practices. the implementation of the affordable care act create a lot of uncertainty. couple that with a number of physicians retiring over the next couple years and we've got a growing problem that increasingly the governor and legislature will be forced to look at. >> neil: thank you very much. we'll see what happens. florida medical association vice president of governmental affairs. the fear is flying high that democrats are warning air travelers to brace for impact. is all of this really just a bunch of bunk? we report, you decide. i'm phyllis, and i have diabetic nerve pain. when i first felt the diabetic nerve pain, of course, i had no idea what it was. i felt like my feet were going to sleep. it progressed from there to burning like i was walking on hot coals

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. the scare in the air. democrats holding a news conference warning any deep spending cuts will mean long lines as airports and less security.

>> there are going to be real consequences for anybody who travels in america. >> we see consistent 2 to 3-hour lines to clear customs. >> furloughs would increase security wait times by at least one hour. >> 90-minute flight delays across the country. >> do the numbers add up? republican lawmakers putting out these numbers showing domestic flights are down 37%. the f.a.a. budget is up 41% over the last ten years. michael boyd, what and who to believe. who is right? >> the democrats should be ashamed of themselves. there's no need to do this. i think lahood was given the order by obama, make sure maximum inconvenience is put upon the public on friday. there's no need for these cutbacks. all that about talking about how its going to be terrible. it may be, but they're going to create it. >> neil: i was looking at the

scene at the airport. maybe the press conference caused delays. having said that, what about the financing for the f.a.a. and homeland security over the years has gotten to be a behemoth. is it a lack of funding that's the issue and will cutting it in any way, shape or form compromise the security they talk about? >> we don't have good security to start with with that organization. the fact is there's plenty of money if they spend it right. number two, to cut back on air transportation with the sequester, why don't we put a gun to the head of the economy and pull the trigger. it's reprehensible and irresponsible and the statements are to scare the public and they want to make sure the public solvers surface to make -- suffers to make a point. >> the reality is within the transportation secretary budget

and purview, he could cut a lot of other things instead of going right for security or right for the guys on the line just as the agriculture secretary doesn't have to go to beef inspectors and sacrifice the quality of the beef we eat, right? >> no, of course not. but remember this is politics and ray lahood is the vintage politician. he'll do what he's told. he'll say to people, you're in a long line because the republicans wouldn't do what we asked. we don't have to do it but it's going to harm the economy and they're going to put it up to make political points. >> neil: do you think in the environment, whether we're having a sequestration soap opera or not, the further we get from 9/11, the less concerned and maybe fewer dollars will go into antiterrorism efforts? because it's more time has

passed, and that's the case with or without sequestration. >> you're right. we don't have security today. we have the pointy object patrol. we've forgotten about 9/11. the person who ran security on 9/11 and failed, she later bottom put -- got put on the board of directors at two airlines. this is about looking for toothpaste and pointy objects. >> neil: michael, good seeing you again. >> thank you. >> the president and republicans kicking the blame game into high gear. >> sometimes folks in congress think compromise is a bad word. thousands of teachers and educators will be laid off. tens of thousands of parents will have to deal with finding child care for their children. >> for creating the as wears, the award for worst idea, president obama said. >> i receive this honor with deep gratitude and great hugh

millty. >> neil: all right. republicans seizing on the oscars to make the theme that he's exaggerating. the judge agrees with that series of ad campaigns. he joins us now. bottom line, nothing's getting done. you could make an argument nothing getting done with $835 million of cuts that are better than no cuts is okay. what do you say? >> well, i mean it's going to be cuts. there's going to be 85 billion but it's not smart. both sides agreed. the president's idea, republicans went along with it, thought it was a good day. >> neil: they thought it wasn't going to happen. >> no one thought this would happen. the reason we're talking about drastic cuts, they're making them up. no, we made them drastic on both sides, drastic on defense and -- >> you say drastic, yes -- i'm not minimizing that but no one is cutting anything in the

aggregate. >> right. >> it's slowing the rate of growth in some programs. i guess i'm wondering, not taking sides, if that causes a hullabaloo, what do we have to do to really cut? >> the reason it's causing this -- if there was flexibility built into the 85 billion. defense department decides where the cuts come from. there will be no problemz. >> neil: what about the argument the president changed the goalpost knowing full well you couldn't raise revenues and all of a sudden revenues were raised as part of the equation. was he right? >> we can have a legitimate debate. >> neil: who says there's no debate, the president changed the goalpost. >> the president has been saying a dollar for a dollar for a while. it was originally 2.5 dollars for a dollar. >> neil: when republicans say its disproportionately tax hikes

over suspending cuts -- >> democrats think all the republicans want to do is raise taxes. democrats think republicans want to cut spending and social programs. okay, compromise. 45 billion in -- 55 billion in revenue, 55 billion in cuts. but that's the -- >> neil: the problem, joe, is not the amount of money coming in. a trillion more goes out than comes in. shouldn't that be the focus? >> you're right. i'm trying to deal with the sequestration. i said earlier when we were off the air for a second, it's like look, we got to get rid of five pound. we all agree. we could have lipo suction, we could stop eating carbs or cut your hand off to get rid of five pounds. well.

>> that would be a heavy hand. >> well, but i mean sequestration is more meat cutter, not really thoughtful, two parties agreeing on flexibility and making cuts that matter. that's what i think is crazy about this. >> neil: we just got to this point. joseph, always good to see you. he didn't go to class so give him a pass? a former mayor claiming a 6 figure paycheck for part time work claims he was too stupid to know it was legal. our legal ladies are ready for battle next. [ woman ] if you have the audacity to believe your financial advisor should focus on your long-term goals, not their short-term agenda. [ woman ] if you have the nerve to believe that cookie cutters should be for cookies, not your investment strategy. if you believe in the sheer brilliance

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>> get out . >> californians lashing out over city officials raking in nearly

6 figure salaries. oscar hernandez is one of them. fighting charges of stealing them. his lawyers defense, hernandez was too uneducated and i will -- >> his. faith, does have a leg to stand on? >> there were financial advisors and no one advised mayor hernandez the salaries were too high. he's 6 a years old, he -- 65 years old and he's been a good mayor to the people in the city. the salary was under is hundred thousand dollars. i don't think he should go to prison for 11 to 20 years. >> wait a minute. by all accounts he's been a good mayor except for the fact he raised taxes to pay himself and

the city council. >> neil: you say his defense doesn't fly. >> he wasn't too ignorant to become mayor and get party backing and run for mayor and actually hire people underneath him. >> i would say this. the idea he was too stupid or illiterate. we caught remarks he had in prior council meetings and he doesn't seem like an idiot. this is the good mayor, doing a pretty good job reading. >> council, i have support -- [ indiscernible ]. 3 minutes after 5:00. >> ladies and gentlemen. >> all right, he seems alert and seems to read. by the way, he was bilingual so we could go back and forth. all pretty impressive. >> the question is, how was he supposed to know the salaries were illegal under the statutes

in town if financial advisors don't know. he didn't seen graduate from high school. >> neil: when you make this kind of money and look for this money for a part-time job, you don't have to be a mensa candidate. >> wait a minute. >> he was getting a lot of money. >> he increased his salary himself. >> neil: by the way, that's in debate whether he was the lead player in doing that. but he would have been aware of the figures that he expressed surprise. >> prior mayors got paid a lot less than he did. prior city councilmen did not even get paid close to the -- >> so ignorance is not a defense? >> of course not. you take an oath. >> neil: he probably read it. >> if he's illiterate, how did he have the understanding to read anything as mayor? everything he signed, every single thing he signed as mayor,

we have to now start all over? >> because it -- the job may have been part time on the books, but as far as he's concerned was a a full-time job. >> has he said that. >> someone talked about the work he did and the commitment that he made to the position. >> not withstanding that. if the city doesn't have the money to pay him, you don't raise taxes to pay yourself. >> i agree with that. >> neil: the bottom line, we're get astray from what's as issue. whether he knew that his salary, high as it was, was out of whack with the norm and out of whack with his predecessors. if that's the case, there's no defense for that, especially if you were elected by the people and you're up to speed on the basics. by the way, among the things you controller budgets. >> there are mitigating circumstances. >> neil: like gal. >> the other being the financial

advisors who did not advise him. >> you don't need a financial adviser to tell him it's out of whack. >> was it illegal? >> maybe they're paid a lot. >> neil: wait a minute, what? >> think about it, they work for the mayor. who is to say he didn't appoint them i wouldn't be careful, you're throwing out a lot of stuff you don't know is true. >> we don't know. but at the very least, you're obligated when you take a oath of office to do the best job and represent the people. if your salary is so out of whack and we're in a recession and people in your town are -- >> neil: then you have to control every politician on every council whose salary is out of whack. you think there's an excuse. >> i think not knowing or the law not being clear on the issue

may be a mitt gating factor. >> neil: all i know, i got a little annoyed. do you know what other anchors here at fox are paid? >> i don't know how you know. >> i don't know how you know. >> i'll see you tonight with myy outrage. see, i figured low testosterone would decrease my sex drive... but when i started losing energy and became moody... that's when i had an honest conversation with my doctor. we discussed all the symptoms... then he gave me some blood tests. showed it was low t. that's it. it was a number -- not just me. [ male announcer ] today, men with low t have androgel 1.62% (testosterone gel). the #1 prescribed topical testosterone replacement therapy, increases testosterone when used daily. women and children should avoid contact with application sites. discontinue androgel and call your doctor if you see unexpected signs of early puberty in a child, or signs in a woman, which may include changes in body hair or a large increase in acne, possibly due to accidental exsure. men with breast cancer

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